Consolidated Financial Results for the Six Months Ended September 30, 2024 (Under Japanese GAAP)

Nov 7, 2024 at 4:31 AM UTC · Issued by Sumitomo Warehouse Co., Ltd.

Consolidated Financial Results

for the Six Months Ended September 30, 2024 (Under Japanese GAAP)

November 7, 2024

The Sumitomo Warehouse Co., Ltd.

Listing:	Tokyo Stock Exchange
Securities code:	9303
URL:	https://www.sumitomo-soko.co.jp/
Representative:	Akihito Nagata, President
Inquiries:	Masaya Arakawa, General Manager, Finance &
	Accounting Department
Telephone:	+81 6 6444 1183
Scheduled date to file semi-annual securities report:	November 11, 2024
Scheduled date to commence dividend payments:	December 2, 2024
Preparation of supplementary material on financial	Yes
results:
Holding of financial results briefing:	Yes

(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the six months ended September 30, 2024 (from April 1, 2024 to September 30,

2024)

(1) Consolidated operating results (cumulative)

(Percentages indicate year-on-year changes.)

Operating revenue

Operating profit

Ordinary profit

Profit attributable to

owners of parent

Six months ended

Millions of yen

％

Millions of yen

％

Millions of yen

％

Millions of yen

％

September 30, 2024

95,286

1.9

6,368

(2.6)

8,276

(2.1)

5,157

(6.0)

September 30, 2023

93,532

(24.3)

6,541

(63.0)

8,452

(55.9)

5,488

(62.9)

Note: Comprehensive income:

For the six months ended September 30, 2024: ¥3,861 million [(82.9%)]

For the six months ended September 30, 2023: ¥22,616 million [40.1%]

Basic earnings

Diluted earnings

per share

Six months ended

Yen

September 30, 2024

65.83

65.77

September 30, 2023

69.19

69.08

(2) Consolidated financial position

Total assets

Net assets

Equity-to-asset ratio

As of

Millions of yen

％

September 30, 2024

427,722

262,560

59.1

March 31, 2024

436,920

264,804

58.4

Reference: Equity

As of September 30, 2024: ¥252,617 million

As of March 31, 2024: ¥255,130 million

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2. Cash dividends

		Annual dividends per share
	First quarter-end	Second quarter-end	Third quarter-end	Fiscal year-end	Total
	Yen	Yen	Yen	Yen	Yen
Fiscal year ended March 31, 2024	－	50.50	－	50.50		101.00
Fiscal year ending March 31, 2025	－	50.50
Fiscal year ending March 31, 2025			－	50.50		101.00
(Forecast)

Note: Revisions to the forecast of cash dividends most recently announced: None

3. Consolidated forecasts for the fiscal year ending March 31, 2025 (from April 1, 2024 to March 31, 2025)

(Percentages indicate year-on-year changes.)

Profit attributable to

Basic

Operating revenue

Operating profit

Ordinary profit

earnings

owners of parent

per share

Millions of yen

％

Millions of yen

％

Millions of yen

％

Millions of yen

％

Yen

Fiscal year ending

192,000

4.0

13,500

2.4

17,000

0.7

12,500

0.1

158.73

March 31, 2025

Note: Revisions to the financial forecast most recently announced: None

Notes

Significant changes in the scope of consolidation during the period: None
Adoption of accounting treatment specific to the preparation of semi-annual consolidated financial statements: Yes
Changes in accounting policies, changes in accounting estimates, and restatement
1. Changes in accounting policies due to revisions to accounting standards and other regulations: None
2. Changes in accounting policies due to other reasons: None
3. Changes in accounting estimates: None
4. Restatement: None
Number of issued shares (common shares)
1. Total number of issued shares at the end of the period (including treasury shares):

As of September 30, 2024 : 79,247,315 shares

As of March 31, 2024 : 79,247,315 shares

1. Number of treasury shares at the end of the period: As of September 30, 2024 : 1,208,201 shares As of March 31, 2024 : 495,352 shares
2. Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year): Six months ended September 30, 2024 : 78,339,418 shares
  Six months ended September 30, 2023 : 79,325,895 shares
Semi-annualfinancial results reports are exempt from review conducted by certified public accountants or an audit firm.
Proper use of earnings forecasts, and other special matters

The forecasts are based on information currently available and certain assumptions judged to be reasonable. The Company's actual results may differ materially from the forecasts as a result of numerous factors outside of the Company's control.

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Consolidated Financial Results

(1) Consolidated interim balance sheets

			(Millions of yen)
		As of March 31, 2024 As of September 30, 2024

Assets
Current assets
Cash and deposits	52,214	45,214
Notes and accounts receivable-trade	20,650	21,391
Real estate for sale	2,774	2,734
Other	7,532	8,697
Allowance for doubtful accounts	(102)	(231)
Total current assets	83,068	77,807
Non-current assets
Property, plant and equipment
Buildings and structures, net	92,713	90,558
Machinery, equipment and vehicles, net	5,744	5,615
Vessels, net	417	390
Tools, furniture and fixtures, net	1,027	1,016
Land	74,276	75,616
Construction in progress	1,570	3,661
Other, net	3,279	3,634
Total property, plant and equipment	179,029	180,493
Intangible assets
Leasehold interests in land	5,138	5,138
Software	1,431	1,309
Other	674	830
Total intangible assets	7,244	7,278
Investments and other assets
Investment securities	157,195	151,691
Long-term loans receivable	256	250
Retirement benefit asset	2,956	2,943
Deferred tax assets	722	768
Other	6,730	6,775
Allowance for doubtful accounts	(281)	(288)
Total investments and other assets	167,578	162,141
Total non-current assets	353,852	349,914
Total assets		436,920	427,722

- 3 -

			(Millions of yen)
		As of March 31, 2024 As of September 30, 2024

Liabilities
Current liabilities
Notes and accounts payable-trade	12,093	11,764
Short-term borrowings	5,174	5,216
Current portion of bonds payable	10,000	5,000
Income taxes payable	2,360	2,458
Provision for bonuses	1,488	1,963
Other	8,887	9,626
Total current liabilities	40,004	36,028
Non-current liabilities
Bonds payable	37,000	37,000
Long-term borrowings	39,006	37,846
Deferred tax liabilities	42,633	40,791
Provision for retirement benefits for directors (and	98	103
other officers)

Retirement benefit liability	3,783	3,704
Long-term deposits received	8,120	7,792
Other	1,468	1,895
Total non-current liabilities	132,111	129,133
Total liabilities	172,115	165,161
Net assets
Shareholders' equity
Share capital	14,922	14,922
Capital surplus	12,347	12,347
Retained earnings	134,329	135,500
Treasury shares	(1,094)	(2,960)
Total shareholders' equity	160,505	159,809
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	85,594	81,459
Foreign currency translation adjustment	5,831	8,317
Remeasurements of defined benefit plans	3,199	3,030
Total accumulated other comprehensive income	94,624	92,807
Share acquisition rights	113	99
Non-controlling interests	9,560	9,843
Total net assets	264,804	262,560
Total liabilities and net assets		436,920	427,722

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Consolidated interim statements of income and consolidated interim statements of comprehensive income (Consolidated interim statements of income)

			(Millions of yen)
		Six months ended	Six months ended
		September 30, 2023	September 30, 2024

Operating revenue
Warehouse income	15,628	15,940
Harbor transportation income	15,496	15,744
International transportation income	26,660	26,870
Land transportation income	23,685	24,904
Rent income of warehouse and logistics facilities	2,976	3,057
Real estate lease revenue	5,077	5,143
Other	4,007	3,624
Total operating revenue	93,532	95,286
Operating costs
Cost of sales	51,945	52,526
Personal expenses	14,186	14,909
Rent expenses	4,814	4,836
Taxes and dues	1,471	1,245
Depreciation	4,657	5,002
Other	5,295	5,498
Total operating costs	82,373	84,019
Operating gross profit	11,159	11,267
Selling, general and administrative expenses
Salaries, allowances and welfare expenses	2,446	2,623
Provision for bonuses	277	305
Retirement benefit expenses	97	49
Other	1,797	1,920
Total selling, general and administrative expenses	4,618	4,899
Operating profit	6,541	6,368
Non-operating income
Interest and dividend income	1,901	2,002
Share of profit of entities accounted for using equity method	41	76
Other	219	266
Total non-operating income	2,163	2,345
Non-operating expenses
Interest expenses	188	220
Provision of allowance for doubtful accounts	－	127
Other	63	89
Total non-operating expenses	252	436
Ordinary profit		8,452	8,276

- 5 -

			(Millions of yen)
		Six months ended	Six months ended
		September 30, 2023	September 30, 2024

Extraordinary income
Gain on sale of non-current assets	16	21
Gain on sale of investment securities	306	－
Gain on surface rights	149	－
Total extraordinary income	471	21
Extraordinary losses
Loss on retirement of non-current assets	392	78
Total extraordinary losses	392	78
Profit before income taxes	8,531	8,219
Income taxes-current	2,218	2,581
Income taxes-deferred	414	14
Total income taxes	2,632	2,596
Profit	5,898	5,623
Profit attributable to non-controlling interests	410	465
Profit attributable to owners of parent		5,488	5,157

- 6 -

(Consolidated interim statements of comprehensive income)

		(Millions of yen)
	Six months ended	Six months ended
	September 30, 2023	September 30, 2024

Profit	5,898	5,623
Other comprehensive income
Valuation difference on available-for-sale securities	14,941	(4,176)
Foreign currency translation adjustment	1,630	2,169
Remeasurements of defined benefit plans, net of tax	(50)	(169)
Share of other comprehensive income of entities	197	414
accounted for using equity method

Total other comprehensive income	16,717	(1,761)
Comprehensive income	22,616	3,861
(Comprehensive income attributable to)
Owners of parent	22,065	3,339
Non-controlling interests	550	521

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(3) Consolidated interim statements of cash flows

			(Millions of yen)
		Six months ended	Six months ended
		September 30, 2023	September 30, 2024

Cash flows from operating activities
Profit before income taxes	8,531	8,219
Depreciation	4,855	5,195
Increase (decrease) in provisions	318	601
Interest and dividend income	(1,901)	(2,002)
Interest expenses	188	220
Share of loss (profit) of entities accounted for using equity method	(41)	(76)
Loss (gain) on sale of non-current assets	(16)	(21)
Loss on retirement of non-current assets	392	78
Loss (gain) on sale of investment securities	(306)	－
Gain on surface rights	(149)	－
Decrease (increase) in trade receivables	1,827	(353)
Increase (decrease) in trade payables	(22)	(538)
Other, net	829	(191)
Subtotal	14,506	11,131
Interest and dividends received	1,877	2,015
Interest paid	(182)	(219)
Gain on surface rights income received	149	－
Income taxes paid	(8,209)	(2,332)
Income taxes refund	1,157	－
Net cash provided by (used in) operating activities	9,297	10,594
Cash flows from investing activities
Payments into time deposits	(1,210)	(1,554)
Proceeds from withdrawal of time deposits	989	2,654
Purchase of property, plant and equipment	(17,426)	(5,197)
Proceeds from sale of property, plant and equipment	14	26
Purchase of intangible assets	(192)	(539)
Purchase of investment securities	(44)	(44)
Proceeds from sale of investment securities	357	－
Proceeds from sale of shares of subsidiaries resulting in change in	7,163	－
scope of consolidation

Proceeds from collection of loans receivable	8	8
Other, net	(230)	(43)
Net cash provided by (used in) investing activities		(10,571)	(4,691)

- 8 -

		(Millions of yen)
	Six months ended	Six months ended
	September 30, 2023	September 30, 2024

Cash flows from financing activities
Proceeds from short-term borrowings	802	432
Repayments of short-term borrowings	(670)	(945)
Proceeds from long-term borrowings	12,600	－
Repayments of long-term borrowings	(8,536)	(605)
Redemption of bonds	－	(5,000)
Proceeds from issuance of commercial papers	10,000	－
Redemption of commercial papers	(10,000)	－
Purchase of treasury shares	(932)	(1,960)
Dividends paid	(3,967)	(3,974)
Dividends paid to non-controlling interests	(1,166)	(178)
Repayments to non-controlling shareholders	(1,497)	－
Other, net	(523)	(592)
Net cash provided by (used in) financing activities	(3,891)	(12,826)
Effect of exchange rate change on cash and cash equivalents	488	797
Net increase (decrease) in cash and cash equivalents	(4,677)	(6,124)
Cash and cash equivalents at beginning of period	46,521	47,947
Increase (decrease) in cash and cash equivalents resulting from change	(6)	－
in scope of consolidation

Cash and cash equivalents at end of period	41,837	41,822

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(4) Segment information

Information related to operating revenue and income by reportable segment
	Six months ended September 30, 2023						(Millions of yen)

			Reportable segment			Amount in
					consolidated
							Adjustment
							interim
		Logistics		Real estate		Total	(Note 1)	statements of
					income

								(Note 2)
	Operating revenue
	External revenue	88,348		5,184		93,532	－	93,532
	Inter-segment revenue	4		280		285	(285)	－
	Total	88,352		5,465		93,817	(285)	93,532
	Segment income	6,957		2,383		9,341	(2,800)	6,541

Notes: 1. The adjustment of ¥ (2,800) million in segment income includes company-wide expenses of ¥ (2,803) million which are not allocated to the respective reportable segments. Company-wide expenses consist mainly of the expenses assignable to neither of the reportable segments for administrative departments of the Company and some of its consolidated subsidiaries.

2. Segment income is adjusted to coincide with operating profit as recorded on the consolidated interim statements of income.

Six months ended September 30, 2024						(Millions of yen)

		Reportable segment			Amount in
				consolidated
						Adjustment
						interim
	Logistics		Real estate		Total	(Note 1)	statements of
				income

							(Note 2)
Operating revenue
External revenue	90,107		5,179		95,286	－	95,286
Inter-segment revenue	4		303		307	(307)	－
Total	90,111		5,482		95,594	(307)	95,286
Segment income	6,883		2,586		9,469	(3,101)	6,368

Notes: 1. The adjustment of ¥ (3,101) million in segment income includes company-wide expenses of ¥ (3,024) million which are not allocated to the respective reportable segments. Company-wide expenses consist mainly of the expenses assignable to neither of the reportable segments for administrative departments of the Company and some of its consolidated subsidiaries.

2. Segment income is adjusted to coincide with operating profit as recorded on the consolidated interim statements of income.

This document has been translated from a part of the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

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